Threats, appeals, and recordings: North America's efforts to prevent Trump's tariffs
The president's February 1 deadline triggers a rush for a postponement.
As President Donald Trump announces potential tariffs on goods from Mexico and Canada, he confronts strong opposition from both nations and within the United States. Leaders and industry representatives across North America are urging him to avoid igniting a trade war with the country’s largest trading partners.
Trump has reiterated his intent—most recently today—to impose a 25 percent tariff on goods imported from Mexico and Canada, alongside a 10 percent tariff on Chinese products set to take effect this Saturday. “We’re not looking for a concession, and we'll just see what happens, we’ll see what happens,” Trump stated Friday afternoon regarding the tariffs on Mexico and Canada, citing trade deficits and undocumented immigration issues. He added that China “makes the fentanyl and gives it to Mexico, puts it through Canada, different places, mostly Mexico.”
In response, Canadian leaders are utilizing various strategies to dissuade Trump from implementing these tariffs, including sending a three-minute video showcasing a peaceful stretch of the U.S.-Canada border to Trump’s commerce secretary nominee Howard Lutnick Wednesday evening, in hopes of illustrating their border security measures. Mexican President Claudia Sheinbaum expressed her government's commitment, stating that they are “doing everything in our power to prevent such a scenario from occurring.”
Industry groups that would be significantly affected by the tariffs—covering sectors like energy, automotive, agriculture, food production, and technology—are vigorously lobbying against the tariffs or at least advocating for exemptions for their products. This includes open letters to Trump and private lobbying efforts on Capitol Hill.
There is still a belief among many that the White House may be amenable to negotiations, despite its insistence on adhering to the February 1 tariff deadline mentioned by the president shortly after taking office.
“I continue to believe he is willing to — but does not want to — impose the tariffs on Canada and Mexico,” said one individual familiar with the discussions, speaking on condition of anonymity. “I do not pretend to know what he definitely will do.”
A former U.S. trade official, who spoke to PMG before Leavitt's press conference, suggested that there remains an opportunity for Canada, Mexico, and the U.S. to reach an agreement. "I think it is not that likely that tariffs go into effect, because I do think that Canada, Mexico and the U.S. will reach some sort of agreement," the official said, also granted anonymity for discussing private conversations. "That could happen today, or that could happen before tariffs actually become effective."
Even if an agreement is not reached before Saturday, immediate implementation of duty increases is unlikely. During Trump’s earlier term, U.S. Customs and Border Protection required time to revise the U.S. tariff code and formally notify the trade community. “There's just a period of time that needs to pass, so it's not just a total cluster,” the former official noted.
This extended timeline grants Canadian and Mexican officials additional opportunities to persuade Trump that they are taking significant measures to curb illegal border activity, an ongoing effort for both countries.
Canada’s Foreign Affairs Minister Mélanie Joly and Public Safety Minister David McGuinty recently visited Washington to communicate this message to U.S. Secretary of State Marco Rubio and other officials, as well as to lawmakers. Joly acknowledged the challenge of predicting Trump’s mindset but hoped to advocate Canada’s position effectively.
The repeated message from Canada emphasizes that only a small percentage of fentanyl and undocumented immigrants entering the U.S. originate from its territory. “Let me reiterate: Our border is safe and secure,” Prime Minister Justin Trudeau stated in Toronto on Friday. “And less than 1 percent of fentanyl and illegal crossings into the United States come from Canada.”
Additionally, Finance Minister Dominic LeBlanc, who has visited Mar-a-Lago twice since November, sent video evidence to Lutnick, hoping it would reach Trump, with the assumption that the president might prefer visual information over written. However, a source familiar with the video was unaware if the president had viewed it.
This source, who requested anonymity to discuss the conversations, mentioned that Lutnick had sought proof of Canada's efforts, which was mentioned during discussions at dinner in Mar-a-Lago alongside Trudeau. LeBlanc and Lutnick have maintained a friendly texting relationship since then.
Nonetheless, Canada is signaling that relations will become much more strained should Trump proceed with his tariff threats. Trudeau firmly stated, “We won't relent until tariffs are removed. Everything is on the table.”
On Friday, Sheinbaum also cautioned against potential retaliation. "We have Plan A, Plan B, Plan C, depending on what the government of the United States decides. It is very important for the people of Mexico to know that we will always defend the dignity of our people, that we will always defend respect for our sovereignty, and engage in dialogue as equals, as we have always stated, without subordination," she asserted during her press briefing.
Industry representatives are warning Trump and other Republicans that such retaliation could result in significant economic consequences for American businesses.
In a letter sent to Trump on Friday, a coalition of 52 alcohol industry groups known as the “Toasts Not Tariffs Coalition” highlighted the “unique nature” of the U.S. wine and spirits sector and its importance to American restaurants, urging him to exempt wine and spirits from any new tariffs and to discourage retaliatory tariffs from trading partners.
Matt Blunt, president of the American Automotive Policy Council, representing Ford Motor Co., General Motors Co., and Stellantis, argued earlier in the week that all vehicles and parts meeting the current U.S.-Mexico-Canada Agreement standards should be exempt from tariffs, as they “meet the strict standards originally negotiated by President Trump to support jobs and investment in the United States.”
Ed Brzytwa, vice president of international trade at the Consumer Technology Association, which includes members like Apple, Amazon, and Google, mentioned that he is engaging with Republican lawmakers who have previously opposed “sweeping” tariffs, naming Senate Majority Leader John Thune, Senators Steve Daines, Mitch McConnell, John Cornyn, and Mike Crapo specifically.
“There's a lot of concern in the Congress about imposing tariffs in a sweeping way where it's not strategic,” Brzytwa stated. “If you're trying to move critical minerals supply chains out of China, but at the same time, slap tariffs on critical minerals coming from our allies — like Canada, for example — sure that harms our competitiveness too.”
Anthony Andragna and Marcia Brown contributed to this report.
Aarav Patel contributed to this report for TROIB News